In view of honourable SC ruling in case of m/s ACER ,now import of laptop will not attract 7% additional duty.Many refund cases will arise for past clearance done in six months.If any person is paying duty under protest than no time limit.

No bar Of Unjust Enrichment for refund of duty arsing on account of finalisation of provisional assessment under section 18 0f the Customs Act 1962 as per honourable tribunal order in case of Timken India ltd Vs Commissioner of Customs,Kolkata,reported in 2007(217)E.L.T197(Tri.-Kolkata).

Whether each time duty under protest has to be registered with The Custom Department or once it is registered then it is valid for subsequent import clearance?

There is no rules under Customs Act 1962 prescribed for exact procedure to be followed in case duty paid under protest to the Customs department.But various Court rulings and Public Notices are issued by the department which state the procedures to be followed by the Trade for duty under protest.

Logically,if any person is registering protest than it is assumed that in future also he is paying duty under protest.Suppose,if he pay duty without any protest for future clearance then it
means that earlier registered protest is deemed to have been vacated.The Importer has accepted contention of the department for paying duty.In another situation,once duty is paid under protest,the importer has to pay under protest till it is vacated by the department.

As per Atice Industries ltd Vs Collector,1991(54)E.L.T 285(Tribunal),and,Fire composite (P) ltd Vs Collector ,1995(78) E.L.T 73 (Tribunal) duty is paid under protest till the letter of protest is vacated


Under duty protest,only situation of refund may arise but not the short collection of duty.Therefore,it is the importer who is interested in getting stay vacated.

The public notice issued by the Chennai custom House for procedure to be followed for Duty under protest is reproduced below:

OFFICE OF THE COMMISSIONER OF CUSTOMS, CUSTOM HOUSE
33, RAJAJI SALAI, CHENNAI – 600 001.

PUBLIC NOTICE 7 /2002

Sub: Registering of protest for payment of duty by Importers – Reg.

********
Attention of the importers, Custom House Agents and members of the trading public is invited to this Office Public Notice No.128/76 and 159/85 regarding registration of protest wherever Customs Duty is paid under protest. In continuation of these public Notices, this P.N. is issued.

2. Instances have come to notice that the importers are registering their protest in a simple letter form without adhering the procedure setout in the said Public Notices. Such simple protests in payment of duty without observing the conditions laid down in the above Public Notices and the following procedures cannot be construed as protest and noclaim whatsoever can be made based on such simple protests. Therefore, the Importers / Custom House Agents are instructed to adhere to the following procedures:

i) When an importer desires to pay duty under protest, he shall make an endorsement to that effect on the reverse of the original Bill of entry/EDI form and also furnish the grounds on which duty is paid under protest.
ii) Such Bills of entry containing the above mentioned endorsement shall be submitted to the respective Group Appraiser and Asst./Deputy Commissioners of Customs for counter-signature.
iii) Importers/Clearing Agents shall present such Bills of entry to the centralized Unit (Refunds Section) for registration.
iv) The Centralised Unit i.e., Refund Section shall register the particulars of Bills of Entry etc including the grounds on which duty is paid under protest in a separate register and also assign the Serial No. and date on the Original, duplicate and triplicate copies of Bills of Entry.
v) Importers/Custom House Agents shall ensure that protest stamp is affixed on the original, duplicate and triplicate copies of Bills of entry etc. by the Refunds Section and also see that the Serial No. with date is entered in the Bills of Entry etc. countersigned by the Officers atleast in the level of Deputy Office Superintendent of the Refund Section.

Sd/-
(JOSEPH DOMINIC)
COMMISSIONER OF CUSTOMS(SEA PORT)

F.No.Misc.169/2001 – Enq.
Custom House, Chennai –1.
Dated:21.01.2002

// ATTESTED //

(S. SANKARAVADIVELU)
DY. COMMISSIONER OF CUSTOMS(ENQ)

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